Which statements are true? 1 Read a demand curve up and over.
2 Read a marginal benefit curve up and over.
3 Read a demand curve over and down.
4 Read a marginal benefit curve over and down.
A) 3 only
B) 1 and 2
C) 1 and 4
D) 2 and 3
E) 2 and 4

Question

Quizplus · Accepted Answer

1. A demand curve shows the quantity demanded at different prices. As price increases, quantity demanded decreases. Therefore, we read a demand curve over and down.
2. A marginal benefit curve shows the additional benefit gained by consuming one more unit of a good or service. As quantity consumed increases, marginal benefit decreases. Therefore, we read a marginal benefit curve over and down. So, option 4 is correct.

Which Statements Are True? 1 Read a Demand Curve Up